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Senior economic minister, Airlangga Hartanto rated Indonesia Rupiah is being too strong and could harm the domestic economy - Photo by Ministry of Industry Office

JAKARTA (TheInsiderStories) – Good Morning! Senior economic minister, Airlangga Hartanto rated Indonesia Rupiah is being too strong and could harm the domestic economy. While, concerns began after new COVID-19 case data began to increase daily after the government eased the large-scale social distancing.

The task force for handling the virus outbreak reported, number of positive cases in the country increased by 1,241 people on Wednesday almost same with previous day numbers 1,043 people. President Joko Widodo has warned he could re-close the country again if the daily numbers rises in the coming days.

Finance ministry plans to release retail bond Series ORI017 next Monday. The proceeds will use to finance the 2020 State Budget deficit and other COVID-19 handling costs. While, three miners and toll road operator to hold an annual shareholder today. There are PT Timah Tbk (IDX: TINS), PT Aneka Tambang Tbk (IDX: ANTM), PT United Tractors Tbk (IDX: UNTR), and PT Jasa Marga Tbk (IDX: JSMR).

From United States (US), the Federal Reserve said the world’ biggest economy would shrink 6.5 percent this year and the US unemployment rate will be at the level of 9.3 percent in 2020 amid the COVID-19 outbreak. On Wednesday, the total number of positive cases in America reached 2 million.

From Asia, South Korea the customs service reported, export values in the first 10 days of June rose 20.2 percent to US$12.3 billion compared to the same period last year. However, the average daily exports over is still down 9.8 percent on an annual basis caused the average daily exports during the period slipped 30.2 percent in annual basis.

From commodity market, West Texas Index (WTI) and Brent simultaneously decreased 2 percent amid the rises of US stockpiles. This morning, the price of WTI crude oil contract for July 2020 delivery fell 2.2 percent to $38.74 per barrel and Brent crude oil futures for August 2002 delivery also fell 2.0 percent to $40.88 a barrel.

After oil prices have doubled since April, investors are now beginning to respond to negative news from US. The Energy Information Administration reports that US crude oil inventories rose to 538.1 million barrels. This is a record, after imports surged due to the arrival of supplies purchased by refineries when Saudi Arabia flooded the market in March and April.

At the same time, gasoline reserves grew more than expected to 258.7 million barrels. Distillate stocks, which include diesel and heating oil, rose 1.6 million barrels, but the increase was smaller than in previous weeks.

Yesterday, the Jakarta Composite Index (JCI) closed down 2.27 percent to 4,920.68 and Indonesian Rupiah ended at 13,920 against the Greenback compared to Tuesday. Today, The analysts sees both instrument tend to weaken and the correction will continues.

The JCI is expected to move between 4,862 – 5,006 and Rupiah in the range 13,900 – 13,950 over the American Dollar. The stocks to be watch for today are PT Bank Rakyat Indonesia Tbk (IDX: BBRI) dan PT Bank Mandiri Tbk (IDX: BMRI), PT Bumi Serpong Damai Tbk (IDX: BSDE), PT Pakuwon Jati Tbk (IDX: PWON), TINS, PT Perusahaan Gas Negara Tbk (IDX: PGAS), ANTM, PT HM Sampoerna Tbk (IDX: HMSP), PT Kalbe Farma Tbk (IDX: KLBF), PT Telkom Indonesia Tbk (IDX: TLKM), PT Indocement Tunggal Perkasa Tbk (IDX: INTP), UNTR, and JSMR.

May you have a profitable Day!

Written by Linda Silaen and TIS Intelligence Team, Please Read Our Insight to Get More information about Indonesia